VA awards $2.15M for STMP TMP SERVICES to University of Michigan, a sole-source contract

Contract Overview

Contract Amount: $2,150,797 ($2.2M)

Contractor: Regents of the University of Michigan

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-01-01

End Date: 2025-12-31

Contract Duration: 1,095 days

Daily Burn Rate: $2.0K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: STMP TMP SERVICES

Place of Performance

Location: ANN ARBOR, WASHTENAW County, MICHIGAN, 48105

State: Michigan Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.2 million to REGENTS OF THE UNIVERSITY OF MICHIGAN for work described as: STMP TMP SERVICES Key points: 1. Contract value is $2.15 million over 3 years. 2. Sole-source award to a university raises competition concerns. 3. Potential risk of inflated pricing due to lack of competition. 4. Services likely support higher education or research functions.

Value Assessment

Rating: questionable

Pricing is difficult to assess without competitive benchmarks. As a sole-source award to a university, it's unclear if the price reflects market value or if it's a cost-plus arrangement with potential for overruns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded on a sole-source basis, indicating no competition. This limits price discovery and may lead to higher costs for taxpayers.

Taxpayer Impact: The lack of competition for this $2.15 million contract means taxpayers may not be receiving the best possible value.

Public Impact

Veterans may benefit indirectly through improved university services or research. Taxpayer funds are directed to a specific academic institution. Transparency in sole-source awards is crucial for public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under the 'Colleges, Universities, and Professional Schools' NAICS code. Spending in this sector often involves research, development, and specialized training services, with pricing varying widely based on the nature of the services.

Small Business Impact

There is no indication that small businesses were involved in this sole-source award. The focus appears to be on a specific academic institution.

Oversight & Accountability

Oversight is needed to ensure the services provided are necessary and that the pricing is reasonable, despite the sole-source nature of the award.

Related Government Programs

Risk Flags

Tags

colleges-universities-and-professional-s, department-of-veterans-affairs, mi, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.2 million to REGENTS OF THE UNIVERSITY OF MICHIGAN. STMP TMP SERVICES

Who is the contractor on this award?

The obligated recipient is REGENTS OF THE UNIVERSITY OF MICHIGAN.

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $2.2 million.

What is the period of performance?

Start: 2023-01-01. End: 2025-12-31.

What specific 'STMP TMP SERVICES' are being procured, and how do they directly benefit the VA's mission?

The specific nature of 'STMP TMP SERVICES' is not detailed in the provided data. Further investigation is required to understand if these services are critical to the VA's core functions, such as research, training, or administrative support. Without this clarity, assessing the true value and necessity of the $2.15 million expenditure is challenging.

What justification was provided for awarding this contract on a sole-source basis instead of seeking competitive bids?

The justification for a sole-source award is critical for understanding potential risks. Typically, sole-source contracts are used when only one vendor can provide the required goods or services. For a university, this might relate to unique research capabilities or existing infrastructure. However, the VA must demonstrate that no other qualified entity could fulfill the requirement to ensure fair pricing and taxpayer value.

How will the VA ensure cost-effectiveness and accountability for a $2.15 million contract awarded without competition?

Ensuring cost-effectiveness in a sole-source contract requires robust oversight. The VA should implement stringent monitoring of deliverables, performance metrics, and expenditures. Regular audits and reviews of the university's cost structure may be necessary to validate the pricing. Establishing clear milestones and payment schedules tied to performance can also enhance accountability and mitigate risks associated with non-competitive awards.

Industry Classification

NAICS: Educational ServicesColleges, Universities, and Professional SchoolsColleges, Universities, and Professional Schools

Product/Service Code: MEDICAL SERVICESMEDICAL, DENTAL, AND SURGICAL SVCS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 36C25020R0110

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 503 THOMPSON ST, ANN ARBOR, MI, 48109

Business Categories: Category Business, Educational Institution, Government, Higher Education, U.S. National Government, Not Designated a Small Business, Higher Education (Public), U.S. Regional/State Government

Financial Breakdown

Contract Ceiling: $4,717,184

Exercised Options: $2,150,797

Current Obligation: $2,150,797

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2023-01-01

Current End Date: 2025-12-31

Potential End Date: 2027-12-31 00:00:00

Last Modified: 2026-03-31

More Contracts from Regents of the University of Michigan

View all Regents of the University of Michigan federal contracts →

Other Department of Veterans Affairs Contracts

View all Department of Veterans Affairs contracts →

Explore Related Government Spending